Last year the Basel Committee published its standard for bank exposures to crypto-assets. This month it will consult on some changes. One of the issues is the treatment of stablecoins. Additionally, it appears that permissionless blockchains seem to be problematic for tokenized securities. And the Committee wants to keep an eye on digital asset custody.
Apart from stablecoins, the consultation will include technical amendments to clarify intent.
Two groups of assets are treated as having lower risk – qualifying tokenized securities and qualifying stablecoins. Lower risk means banks don’t have to set aside additional capital over and above what they usually would if the asset were not tokenized.
Article continues …
Want the full story? Pro subscribers get complete articles, exclusive industry analysis, and early access to legislative updates that keep you ahead of the competition. Join the professionals who are choosing deeper insights over surface level news.
